Welcome to StkyTreat

[JohnHenry]

Hi

I have questions that I’m not clear on the subject “earning”.

One of the many criteria’s in researching for good stocks are to look for quarterly earnings of 25% or better of the last two quarters over the year before. And annual earnings of 25% or better over the past two to five years.

Is the EPS a quick way to screen out a good stock?

Example: An 80 EPS rating simply means this stock is outperforming 80%
of all other stocks based on earning growth.

“Outperforming 80%…growth” Does it relates to which sector(s)
(tech. vs. retail) it’s outperforming or it’s an overall?

Buying stocks with high PE ratios.
What is a high PE ratio, does it relate to which sector(s)?

It makes sense to purchase stocks with both high EPS and PE ratios.
Would this be a good idea to purchase stocks with high EPS and medium or low PE’s?

[JohnHenry]

What semester Calculus are you in now. What is your major.

Hi Skiracer

I'm in my second year Calculus and First year Physics at a junior college because my high school doesn’t offer those classes. . I don’t have a major yet, I just started high school last fall but I think my parents want me to be an engineer. They made my brother become an electrical engineer and he hates it.

See you after finals, thanks everyone for the great feedback. It gives me something to think about until I come.

[skiracer]

I will ask questions. Thanks Lye and everyone on $$MM.
Hey I will be back in two weeks after finals. Thanks again.

What semester Calculus are you in now. What is your major.

[IIC]

Lye suggests asking for The 24 Lessons book...But that book is based on a 26 week series that IBD ran back in the late '90's called 26 Weeks To Investment Success which I just happen to have in my back pocket... http://trimurl.com/545

Now you can ask for another book....I'd recommend Guide To The Markets...it is a little outdated but it is the best book they ever published...If they won't give you that then ask for The Successful Investor and as a last resort you can ask for How To Make Money In Stocks.

Too bad you missed the blowout special IBD had about a month ago...I renewed for only $174 yr for the print edition regular $295. I think I forgot to mention it on this forum...Sorry...Doug(IIC)

[JohnHenry]

The point of my exercise is not to make you feel stupid. It's the prompt you to think, to ponder over what you need to do at at early age if you want to succeed as an investor. I'm 43 and I've been investing for about 18 years.... I still make stupid mistakes. If I had even known what the stock market was at your age I'd be ten years ahead of where I am now.

When you start school, kingergarten is your first stop, right?.... Here's a place to start (kindergarten). Get yourself a subscription to IBD www.investors.com get the actual newspaper subscription. You can get it free for two weeks. Then subscribe for a year and they'll give a free book too. Ask them for the book "24 Essential Lessons for investment Success". Read this book and mark interesting points with a highlighter for future reference.... Now learn to use the paper. Read it cover to cover, DAILY. If you don't understand how to use a section just call IBD and bug them by asking tons of questions. Then learn how to use their website (avoid their forum, it sucks!)

$$Mr Market$$$'s forum is where it's at dude.... Hang out here and read the threads. The TA guys are New-Born Baby, Spikefader, Runner, DMK (and others).... All of these fellas post charts about stocks giving a Technical Analysis of why they are either buying or selling. Follow the POTW and POTY picks.

Visit www.stockcharts.com go to the "chart school" section there and study it. Make your own charts there too (free)....

Visit http://www.quote.com/qc/stocks/quotes.aspx? and www.nasqaq.com and http://finance.yahoo.com/

On Yahoo you can do some basic research any stock.

Now....

(1) pick a stock you've researched,

(2) start a thread here and post why you think your stock is worthy of investing in....

(3)Include Fundamental facts about this companies products or services, it's growth potential, why it's a value (or not)....

(4) give us a basic Technical Analysis by posting a chart.

(5) Then ask for a discussion and see what "the fellas" think. NOTE: If someone says something you don't understand or uses termanology that's foreign to you.... ASK! dude ASK!.... We won't think you're stupid.... We want you to succeed.

I will ask questions. Thanks Lye and everyone on $$MM.
Hey I will be back in two weeks after finals. Thanks again.

[Lyehopper]

Start school in Kindergarten.... Not College

Oh Yeah uh? hehe now I feel like an ass. Yes I viewed a moving average picture. I'm still trying to figure it out.

Hey question on the paper trading. When and how will I know when to buy and when to sell where there are no news of the stock(s). Sometime there are no news for weeks. As of now I am just blindly buying and getting lucky that the prices are moving upward. Thanks

The point of my exercise is not to make you feel stupid. It's the prompt you to think, to ponder over what you need to do at at early age if you want to succeed as an investor. I'm 43 and I've been investing for about 18 years.... I still make stupid mistakes. If I had even known what the stock market was at your age I'd be ten years ahead of where I am now.

When you start school, kingergarten is your first stop, right?.... Here's a place to start (kindergarten). Get yourself a subscription to IBD www.investors.com get the actual newspaper subscription. You can get it free for two weeks. Then subscribe for a year and they'll give a free book too. Ask them for the book "24 Essential Lessons for investment Success". Read this book and mark interesting points with a highlighter for future reference.... Now learn to use the paper. Read it cover to cover, DAILY. If you don't understand how to use a section just call IBD and bug them by asking tons of questions. Then learn how to use their website (avoid their forum, it sucks!)

$$Mr Market$$$'s forum is where it's at dude.... Hang out here and read the threads. The TA guys are New-Born Baby, Spikefader, Runner, DMK (and others).... All of these fellas post charts about stocks giving a Technical Analysis of why they are either buying or selling. Follow the POTW and POTY picks.

Visit www.stockcharts.com go to the "chart school" section there and study it. Make your own charts there too (free)....

Visit http://www.quote.com/qc/stocks/quotes.aspx? and www.nasqaq.com and http://finance.yahoo.com/

On Yahoo you can do some basic research any stock.

Now....

(1) pick a stock you've researched,

(2) start a thread here and post why you think your stock is worthy of investing in....

(3)Include Fundamental facts about this companies products or services, it's growth potential, why it's a value (or not)....

(4) give us a basic Technical Analysis by posting a chart.

(5) Then ask for a discussion and see what "the fellas" think. NOTE: If someone says something you don't understand or uses termanology that's foreign to you.... ASK! dude ASK!.... We won't think you're stupid.... We want you to succeed.

<< When and how will I know when to buy and when to sell where there are no news of the stock(s). >>

Are there any colleges where you live that offer a course in technical analysis?

[JohnHenry]

Have you ever viewed a "picture" with a moving average illustrated?

Those are all good.... but you failed to go out and buy a banjo dude. You gotta get your hands on the instrument.

Oh Yeah uh? hehe now I feel like an ass. Yes I viewed a moving average picture. I'm still trying to figure it out.

Hey question on the paper trading. When and how will I know when to buy and when to sell where there are no news of the stock(s). Sometime there are no news for weeks. As of now I am just blindly buying and getting lucky that the prices are moving upward. Thanks

[Lyehopper]

================================================== ========
Hi everyone

Sorry I was away for a while, I had to study for a physics and calculus test. I was also grounded from using the computers for two weeks.

A moving average shows the average value of a security's price over a set period. They are generally used to measure momentum and define areas of possible support and resistance.

But according to Investopedia, it’s to smooth out price and volume fluctuations.

1) Find out what a Bluegrass Banjo picker is and its functions.
2) Study it
3) Find out who plays the BB in my area.
4) Make friends and ask questions about BBP.
5) Learn to read music.
6) Learn how to play it.
7) Practice daily.
Find if there is a market for BBP.
9) Who are my competitions and how I compare to them.
10) Find my weak points and bring it up to speed.

Have you ever viewed a "picture" with a moving average illustrated?

Those are all good.... but you failed to go out and buy a banjo dude. You gotta get your hands on the instrument.

[jiesen]

Can anyone please explain to me why the prices of gas are skyrocketing? I thought the gas crisis from the 70’s are over? Are there more demands then supplies for gas? Maybe other countries like China and India are eating up oil as much as the US? The only ideal I can come close to is the booming of home, more people want them so the price goes up.

I did some reading as to why gas prices going up due gasoline additive MTBE converting to ethanol. This will cost millions to converts the tanks to hold ethanol. In Brazil they have been using ethanol for over 20 years so why can’t the US do the same? Is it because the oil companies will go under? I thought that when Jimmy Carter was president during the 70’s he created a research agency to find alternative energy for the US?

What do I know?

Hey ST,

Sorry for the general unresponsiveness to your posts here, but it's not because your questions aren't good. I think you've actually stumped a lot of us on these. As for copper, I might have suggested WIRE, which of course has gone through the roof this week (and last), but I just sold it not too long ago, and I think the easiest money's been made already there. Besides, I'm still of the opinion that you're better off paper trading for a while until you really get the hang of it.

And for oil prices, DSteckler hit the nail right on the head, but there is a bit more to it than that. Not only is the demand growing every year for the stuff, but there is a real limit on the amount of easily produced crude. Once it's gone, more expensive alternatives must be used. The price must rise to reflect this. Ethanol isn't really any cheaper or better as a replacement, yet. It may be, but it may also take nearly a gallon of oil to produce the gallon of ethanol (takes a lot of oil to run a farm). Also, ethanol picks up water, and corrodes pipelines. It needs to be trucked around, unlike oil, which will flow through pipelines without trouble (unless you're in a war zone).

If you haven't already I suggest doing a google search for "peak oil" and reading up on the extreme theories about what will happen when a real oil crisis is upon us. Take it with a grain of salt though, because there is plenty of reason to believe we will overcome the dependence on oil by introducing new energy technology, especially with nuclear (both fission and fusion) power, in the coming years and decades. But the fear exists in the marketplace, and it helps drive the prices mercilessly up. Also, the government will never admit it, but the abusive spending, and endless printing of $ is causing prices to rise across the board, especially in useful things like raw materials, oil, homes, food, health care, and education. The only things that aren't rising as much are (conveniently enough for the government) the things that make up the CPI (inflation index) like manufactured goods, (which are getting cheaper due to efficiency and productivity of a poorly paid workforce) rents and wages.

You asked some really good questions, and there really isn't a right answer that I can give you, but keep studying and asking more questions. It's the only way you'll learn.

As for stocks, I think a good way to start would be to produce some lists using some screens available on Yahoo or MSN. Try using $$MM's criteria that he lists on his homepage for a start, then maybe try other factors you think are important for a stock's value. Compare the results of these screens over time, to see which work out, and which don't. You should enter a pick in the POTW contest, just for fun, every now and then to see how your picking stacks up against the rest of us here. It may give you some idea of how tough it is to game the market short term (not that some people can't do it consistently).

Overall, you've got the idea, though, just like the banjo lesson Lye gave you. If you just follow the steps one by one, you'll get there. And definitely keep the math and physics ahead in priority to all this investment stuff. Your education is way more important at this point.

[billyjoe]

Hey Stky,
Welcome. I can't give you advice on what to buy, but consider myself an expert on what to avoid, seriously.

1. never buy a stock recommended by any publication you receive in the mail or see in a magazine.
2. beware of friendly brokers. If they know you've got money they'll swarm on you like flies on sh#*. They are only looking out for their own interest, not yours.
3. especially avoid advice and hot tips from friends or friends of friends they'
ll almost always lose you money.
4. learn from the mistakes of others, if you must screw up, do it with someone else's money.

billyjoe

Can anyone please explain to me why the prices of gas are skyrocketing?

Demand > supply

[JohnHenry]

Can anyone please explain to me why the prices of gas are skyrocketing? I thought the gas crisis from the 70’s are over? Are there more demands then supplies for gas? Maybe other countries like China and India are eating up oil as much as the US? The only ideal I can come close to is the booming of home, more people want them so the price goes up.

I did some reading as to why gas prices going up due gasoline additive MTBE converting to ethanol. This will cost millions to converts the tanks to hold ethanol. In Brazil they have been using ethanol for over 20 years so why can’t the US do the same? Is it because the oil companies will go under? I thought that when Jimmy Carter was president during the 70’s he created a research agency to find alternative energy for the US?

What do I know?

[JohnHenry]

Hi everyone

I have a zillion questions on trains and copper. I love trains since I was a small boy, what do you think about rail stocks? I like Union Pacific but the price is too high for my purchase (the ideal is to buy low and sell high but the prices are high already, how do one know when to get in?). I see gas prices have increased significantly over several weeks. This must have a big impact on trucks delivering goods. I think trains are cheaper to operate with increasing high gas prices and faster over trucks, no? What are some good rail stocks, how and when to learn to time the entry?

I also like copper, due to the increasing gas prices. The auto makers are seeking alternative other way to make cars with electrical motors. I know from taking apart remote control cars, they have electrical motors and the motors are made of copper. Any ideals to what copper companies to purchase, how and when to learn to enter?

[JohnHenry]

Perhaps, you might find paper trading a better fit for yourself over the period of a few months. Then once you have a better feel and a clearly defined method for trading (which you might have right now?), go at with the dollars?

================================================== ========
Hi
I took your advice and traded by paper with these companies below. The Stocks has an upward trend for a few weeks now. I do not know why they are going up maybe I just got lucky. I know if I put real money into the stocks the outcome might be different.

1)goog
2)gs
3)oxy
4)bbbb